How to Launch Cryptocurrency Derivatives: CFTC Issues New Guidance

Regulator provides best practices in response to industry concerns

WASHINGTON—The top U.S. derivatives regulator on Monday provided guidance to exchanges and clearinghouses that want to list cryptocurrency products, responding to industry concerns about the vetting process for new derivatives contracts like bitcoin futures.

The advisory from the Commodity Futures Trading Commission focuses on a set of best practices for launching cryptocurrency derivative contracts. It says exchanges should have the ability to monitor underlying cryptocurrency spot markets, have a plan for coordinating with...